Bp, the oil giant, is making strategic moves to expand its electric vehicle (EV) charging business in the United States, particularly in the wake of Tesla’s decision to disband its EV charging team.
Tesla, led by CEO Elon Musk, recently dismissed the team responsible for its EV charging efforts, despite plans to continue expanding the Supercharger network, albeit at a reduced pace for new locations.
A spokesperson for BP stated, “We are aggressively looking to acquire real estate to scale our network, which is a heightened focus following the recent Tesla announcement.”
This response highlights BP’s intent to capitalize on the available opportunities in the EV charging market landscape, which has been affected by Tesla’s operational shift.
BP’s focus areas for expansion include the north-east, Sun Belt, west coast, and the Great Lakes region.
This geographical targeting indicates a strategic approach to cover key areas that are likely to see high EV adoption and usage.
Despite reaching out, Tesla did not immediately respond to a request for comment on the matter from Reuters.
Tesla’s scaling back comes as an opportunity for other players in the EV charging sector, like EVgo and ChargePoint, to possibly increase their market presence and share.
Last year, BP announced plans to inject $1 billion into its U.S. EV charging infrastructure by 2030 and had also ordered Tesla’s fast chargers worth $100 million in October to boost their capabilities.
However, it hasn’t been all smooth sailing for BP in this venture.
The company recently reduced the workforce in its EV charging business by over ten percent and pulled out of several markets after a less successful bet on the rapid growth of commercial EV fleets, as per sources close to the company last month.
The BP Pulse-branded chargers are designed to be compatible with Tesla’s North American Charging Standard (NACS) and the Combined Charging System (CCS) connectors, facilitating the charging of EVs from various automakers.
This dual compatibility is seen as a strategic move to accommodate a wider range of EV models, thereby enhancing the utility and appeal of their charging stations.
The industry is observing a trend where automakers are increasingly adopting Tesla’s NACS, potentially setting it up to become the industry standard over CCS.
This shift suggests a significant strategic alignment within the industry, further emphasizing the importance of adaptable and accessible EV charging solutions.